Guide to Keeping Your Life Insurance Up To Date
Buying life insurance can help ensure your loved ones are financially secure should the worst happen. But once you've bought life cover, it's important
to not just put your policy documents in a drawer and forget about them - make sure your cover is kept up to date.
Life insurance is often first bought when you are young and buying your first house. However, most people's circumstances are likely to change in the
years that follow.
It's therefore important to ensure your policy covers your current obligations and is sufficient to support your family's needs.
There are several life events which should cause you to revise your life insurance:
Finding a partner - When single, you might have bought life cover to pay off funeral costs and other expenses you didn't want your parents to face if
Now you've got a partner, you will want to ensure both of you would be secure if one of you dies. At this stage you might want to look at joint life
You may also need to change the beneficiaries named on the life policy. If you don't this could lead to potential problems for your spouse or partner if
Having a child - If you're starting a family, you might want to consider increasing the amount of cover. Alongside paying off the mortgage, you might
need to think about education fees, childcare costs if your partner would have to return work and so on.
Change of job - If you land a new position with an increased salary, you might want to raise your insurance cover to ensure your family will be able to
afford the lifestyle your increased wages will offer.
Change of employment status - If you lose your current job, or indeed switch to a new company, you may no longer have life insurance benefits, which
had been previously provided by your employer.
Change of health - If you are facing health problems, you should inform your life insurer as this could affect your ability to buy additional life insurance
cover. You might want to switch from term insurance t